08 October 2025

Summary –

The Australian hybrid securities market continues to reflect a mix of stability and selective yield opportunities, with trading margins and running yields showing varied movement across issuers and maturities.

Bank Hybrid Securities Overview

Bank-issued hybrids remain a core component of the ASX-listed hybrid market, with most securities trading at modest premiums to face value. Key highlights include:

  • Highest Trading Margins:
    • Latitude LFSPA leads with a trading margin of 14.55%, offering a compelling running yield of 9.11%, despite trading below par at $97.90.
    • Challenger CGFPC also stands out with a 9.93% trading margin and 8.44% running yield, reflecting strong investor demand for shorter-dated hybrids.
  • Major Bank Hybrids:
    • NABPF, SUNPH, and MQGPD offer trading margins between 6.56%–8.82%, with running yields ranging from 6.82% to 7.89%.
    • Longer-dated hybrids such as WBCPM, NABPK, and AN3PL show lower trading margins (around 2.6%–3.3%) and running yields in the 6.2%–6.7% range, indicating investor preference for duration and credit quality.
  • Newer Issues:
    • Judo Capital JDOPA continues to attract attention with a 6.50% margin and a 9.64% running yield, trading well above par at $112.00.

Non-Standard Hybrids

Among non-standard hybrids:

  • Nufarm NFNG (Step-Up bond) offers a 5.30% trading margin and a high running yield of 8.89%, trading at $90.50.
  • Ramsay RHCPA (Preference Share) trades at $108.64, with a 4.69% trading margin and 8.28% running yield, reflecting its perpetual nature and investor confidence in the issuer.

 

  • ASX-Listed Hybrids 08.10.25

    COMPANYCODEHYBRID TYPEMATURITY/
    CALL
    DATE    		MARGIN
    INCL. CREDITS    		TRADING
    MARGIN    		DAY
    CHANGE    		DAY
    CLOSE    		RUNNING
    YIELD**
    ChallengerCGFPCCapital Notes 325-05-20264.60%9.93%0.07%102.668.44%
    Nat Aust BankNABPFCapital Notes 317-06-20264.00%8.82%0.06%101.77.82%
    SuncorpSUNPHCapital Notes 317-06-20263.00%8.46%0.05%100.726.82%
    Macquarie GroupMQGPDCapital Notes 410-09-20264.15%6.56%0.03%102.37.89%
    CBACBAPJ PERLS 1320-10-20262.75%6.00%0.03%1016.53%
    LatitudeLFSPACapital Notes27-10-20264.75%14.55%0.06%97.99.11%
    WestpacWBCPJCapital Notes 722-03-20273.40%6.54%0.02%102.57.27%
    CBACBAPI PERLS 1220-04-20273.00%4.46%0.02%102.256.71%
    Bank of QueenslandBOQPFCapital Notes 214-05-20273.80%5.32%0.02%103.737.53%
    Bendigo BankBENPHCapital Notes15-06-20273.80%4.83%0.02%103.277.49%
    Macquarie GroupMQGPECapital Notes 520-09-20272.90%3.65%0.01%102.46.56%
    Nat Aust BankNABPHCapital Notes 517-12-20273.50%4.15%0.01%103.47.16%
    ANZ BankAN3PICapital Notes 620-03-20283.00%3.26%0.01%102.796.61%
    CBACBAPL PERLS 1515-06-20282.85%3.57%0.01%102.626.53%
    SuncorpSUNPICapital Notes 417-06-20282.90%3.38%0.01%103.196.54%
    WestpacWBCPLCapital Notes 922-09-20283.40%4.18%0.01%104.757.10%
    Macquarie BankMBLPDCapital Notes 307-12-20282.90%3.31%0.01%102.86.54%
    Bank of QueenslandBOQPGCapital Notes 315-12-20283.40%3.59%0.01%104.27.00%
    Judo CapitalJDOPACapital Notes16-02-20296.50%4.92%0.01%1129.64%
    ANZ BankAN3PJCapital Notes 720-03-20292.70%2.68%0.01%103.36.27%
    ChallengerCGFPDCapital Notes 425-05-20293.60%3.85%0.01%104.637.21%
    CBACBAPK PERLS 1415-06-20292.75%3.07%0.01%103.36.38%
    IAGIAGPECapital Notes 215-06-20293.50%3.84%0.01%104.87.13%
    Macquarie GroupMQGPFCapital Notes 612-09-20293.70%3.02%0.01%106.497.11%
    Nat Aust BankNABPICapital Notes 617-09-20293.15%2.81%0.01%105.5996.64%
    WestpacWBCPKCapital Notes 821-09-20292.90%3.79%0.01%103.66.65%
    ANZ BankAN3PKCapital Notes 820-03-20302.75%2.72%0.00%103.4536.31%
    CBACBAPM PERLS 1617-06-20303.00%2.69%0.01%105.66.49%
    SuncorpSUNPJCapital Notes 517-06-20302.80%2.87%0.01%104.076.38%
    Nat Aust BankNABPJCapital Notes 717-09-20302.80%2.89%0.01%104.056.39%
    Bendigo BankBENPiCapital Notes 213-12-20303.20%3.26%0.01%104.56.77%
    Insurance AustraliaIAGPFCapital Notes 315-12-20303.20%3.40%0.00%104.666.81%
    ANZ BankAN3PLCapital Notes 920-03-20312.90%2.76%0.00%104.0286.43%
    WestpacWBCPMCapital Notes 1022-09-20313.10%3.32%0.01%105.656.72%
    Macquarie GroupMQGPGCapital Notes 715-12-20312.65%2.76%0.00%103.46.24%
    Nat Aust BankNABPKCapital Notes 817-03-20322.60%2.62%0.00%104.26.17%

  • ASX-Listed Hybrids (Non-standard) 08.10.25

    COMPANYCODEBOND TYPECALL DATEISSUE MARGIN (inc frank)TRADING MARGINDAYCLOSING PRICE RUNNING YIELD
    NufarmNFNGStep UpPerpetual3.90%5.30%0.02%90.58.89%
    Ramsay Health CareRHCPAPreference SharePerpetual4.85%4.69%0.01%108.6398.28%